I still believe this article is a important addition to the discussion of inadequate equilibria. While Scott Alexander’s Moloch post and Eliezer Yudkowsky’s book are great for introduction and discussion of the topic, both of them fail, in my opinion, to convey the sheer complexity of the problem as it occurs in the real world. That, I think, results in readers thinking about the issue in simple malthusian or naive game-theoretic terms and eventually despairing about inescapability of suboptimal Nash equilibria.
What I try to present is a world that is much more complex but also much less hopeless. Everything is an intricate mess of games played on different levels and interacting in complex and unpredictable ways. What, at the first glance, looks like a simple tragedy-of-the-commons problem is in fact a complex dynamic system with many inputs and many intertwined interests. To solve it, one may just have to step back a bit and consider other forces and mechanisms at play.
One idea that is expressed in the article and that I often come back to is (my wording, but the idea is very much implicitly present in Ostrom’s book):
All in all, it seems that organically grown institutions are a lot like Hayek’s free markets. They are information-processing machines. They aggregate countless details, too small and numerous for any central planner to take into account, and generate a set of efficient governance rules.
Another one that still feels important in the hindsight is the attaching of a price tag to a coordination failure (“this can be solved for $1M”) which turns the semi-mystical work of Moloch into a boring old infrastructure project, very much like building a dam. This may have implications for Effective Altruism. Solving a coordination failure may often be the most efficient way to spend money in a specific area.
Author here.
I still believe this article is a important addition to the discussion of inadequate equilibria. While Scott Alexander’s Moloch post and Eliezer Yudkowsky’s book are great for introduction and discussion of the topic, both of them fail, in my opinion, to convey the sheer complexity of the problem as it occurs in the real world. That, I think, results in readers thinking about the issue in simple malthusian or naive game-theoretic terms and eventually despairing about inescapability of suboptimal Nash equilibria.
What I try to present is a world that is much more complex but also much less hopeless. Everything is an intricate mess of games played on different levels and interacting in complex and unpredictable ways. What, at the first glance, looks like a simple tragedy-of-the-commons problem is in fact a complex dynamic system with many inputs and many intertwined interests. To solve it, one may just have to step back a bit and consider other forces and mechanisms at play.
One idea that is expressed in the article and that I often come back to is (my wording, but the idea is very much implicitly present in Ostrom’s book):
Another one that still feels important in the hindsight is the attaching of a price tag to a coordination failure (“this can be solved for $1M”) which turns the semi-mystical work of Moloch into a boring old infrastructure project, very much like building a dam. This may have implications for Effective Altruism. Solving a coordination failure may often be the most efficient way to spend money in a specific area.